Shares of Sonus Networks plummeted in premarket trading after the company slashed its outlook for the first quarter and said it will review its cost structure as it no longer expects to receive certain orders.

The stock of the network communications company shed $4.18, or 32 percent, to reach $8.97 in premarket trading. It fell $1.28, or 8.8 percent, to close at $13.16 on Monday.

The company now expects an adjusted loss between 29 cents and 34 cents per share, down from prior guidance of an adjusted profit 3 cents per share. Revenue is now forecast to come in between $47 million and $50 million, compared with prior guidance of $74 million.

Also, Sonus expects revenue for the full year will be up to 25 percent below the midpoint of its previous annual outlook of $326 million to $330 million.

"As a result of the review announced today, we expect to achieve a cost structure that will ensure we are well-equipped to return to positive cash flow by the end of this fiscal year despite the volatility we are facing," President and CEO Ray Dolan said in a statement.